InterDigital Reports Fourth Quarter and Full Year 2023 Financial Results
Company Release - 2/15/2024
Revenue growth of 20%, significant margin expansion and record return of capital highlight 2023 results
Full year 2024 revenue expected in a range of $620 million to $670 million
WILMINGTON, Del., Feb. 15, 2024 (GLOBE NEWSWIRE) -- InterDigital, Inc. (Nasdaq: IDCC), a mobile, video, and AI technology research and development company, today announced results for the fourth quarter and full year ended December 31, 2023.
“InterDigital delivered significant growth in 2023, driven by accelerating innovation and licensing momentum,” commented Liren Chen, President and CEO, InterDigital. “Revenue increased 20%, profit margins expanded significantly, and we returned a record amount of capital to shareholders. Our momentum has continued into 2024 with our recently announced landmark agreement that licenses Samsung TVs to our video IP. Based on the strength of contracted revenue and the potential for new agreements, we are guiding to another year of strong growth, with FY24 revenue expected in a range of $620 million to $670 million."
Fourth Quarter and Full Year 2023 Results
Three Months Ended
December 31, Twelve Months Ended
December 31,
(in millions, except per share data) 2023 2022 Change 2023 2022 Change
GAAP Results:
Revenues $105.5 $117.1 (10)% $549.6 $457.8 20%
Operating Expenses $80.2 $78.5 2% $328.0 $307.3 7%
Net income1 $39.1 $32.4 21% $214.1 $93.7 128%
Net income1margin 37% 28% 9 ppt 39% 20% 19 ppt
Diluted earnings per share1 $1.41 $1.08 31% $7.62 $3.07 148%
Non-GAAP Results:
Adjusted EBITDA2 $53.3 $64.9 (18)% $345.2 $254.5 36%
Adjusted EBITDA margin2 51% 55% (4) ppt 63% 56% 7 ppt
Non-GAAP Net income3 $37.5 $48.6 (23)% $254.4 $154.8 64%
Non-GAAP diluted earnings per share3 $1.41 $1.62 (13)% $9.23 $5.08 82%
Additional Information:
Revenue by type:
Recurring revenues $103.3 $103.6 —% $408.4 $403.9 1%
Catch-up revenues $2.2 $13.5 (83)% $141.2 $53.9 162%
Revenue by program:
Smartphone $88.1 $88.7 (1)% $467.3 $353.2 32%
CE, IoT/Auto $17.1 $28.2 (39)% $80.9 $103.5 (22)%
Other $0.3 $0.2 76% $1.4 $1.1 27%
Return of Capital to Shareholders
(in millions, except per share data)
Share Repurchases Dividends Declared Total Return
of Capital
Shares Value Per Share Value
Fourth quarter 2023 0.5 $37.0 $0.40 $10.2 $47.2
Fiscal year 2023 4.4 $339.7 $1.50 $39.3 $379.0
Near-Term Outlook
The table below presents guidance of the Company's current outlook for first quarter and full year 2024. The outlook for first quarter 2024 covers existing licenses and does not include any new agreements we may sign over the balance of the first quarter. The outlook for full year 2024 includes both existing licenses and the potential for new agreements over the balance of the year.
(in millions, except per share data) Q1 2024 Full Year 2024
Revenue $245 - $255 $620 - $670
Adjusted EBITDA2(a) $116 - $131 $310 - $345
Diluted earnings per share1(a)(b) $2.40 - $2.95 $4.95 - $6.15
Non-GAAP diluted earnings per share3(a)(c) $3.02 - $3.58 $7.45 - $8.76
(a) Includes revenue share costs of $66 million to $69 million for Q1 2024 and $80 million to $90 million in the outlook for full year 2024.
(b) Based on 28.3 million weighted-average diluted shares as of January 31, 2024 and does not factor in any additional repurchases that may occur during the remainder of either period.
(c) Based on 26.5 million and 26.7 million weighted-average diluted shares for Q1 2024 and full year 2024, respectively.
Conference Call Information
InterDigital will host a conference call on Thursday, February 15, 2024 at 10:00 a.m. ET to discuss its fourth quarter and full year 2023 financial performance and other company matters.
For a live Internet webcast of the conference call, visit www.interdigital.com and click on the “Webcast” link on the Investors page. The company encourages participants to take advantage of the Internet option.
For telephone access to the conference call, visit www.interdigital.com and click on the “Dial In Registration” link on the Investors page. Registration is necessary to obtain a dial in phone number and PIN to join.
An Internet replay of the conference call will be available on InterDigital’s website under Events in the Investors section. The replay will be available for one year.
